RBI net sold $1.66 billion in spot forex market in April, shows bulletin

Indian rupee

The Reserve Bank of India (RBI) sold net $1.66 billion in the spot foreign exchange market in April, according to the central bank’s monthly Bulletin.

This, after it has purchased $14.36 billion in March from the spot market.

The central bank in the Bulletin said that it purchased $10.11 billion and sold $11.77 billion during the period.

The RBI Bulletin is a monthly publication that offers insights into the developments in domestic and global economies but doesn't represent the views of the central bank.

In April, the domestic currency was under pressure for few days after the US President Donald Trump announced the imposition of tariffs.

To protect rupee from falling sharply, the RBI has stepped in the forex spot market leading to selling of dollars.

The Indian rupee (INR) appreciated by 0.4 per cent (m-o-m) vis-à-vis the US dollar and exhibited low volatility during May 2025, RBI bulletin said.

In real effective terms, the INR appreciated (m-o-m) by 0.3 per cent in May 2025 as India’s inflation (on a m-o-m basis) was 0.9 percentage points higher than the weighted average inflation of its major trading partners, more than offsetting the depreciation in the nominal effective exchange rate (NEER), bulletin said.